FX.co ★ US Crude Inventories Fall More Than Expected

US crude oil inventories declined by 5.267 million barrels in the week ended October 30, sharply contrasting with market expectations for a 2.1 million-barrel build and extending the prior week’s draw of 2.031 million barrels.

Gasoline inventories increased by 1.427 million barrels, a slower pace than the previous week’s 2.39 million-barrel rise, while distillate stocks fell by 270,000 barrels, reversing a 380,000-barrel build in the prior week.

At the Cushing, Oklahoma storage hub, inventories rose by 511,000 barrels, offsetting the previous week’s 453,000-barrel decline.

Separately, 400,000 barrels of crude were released from the Strategic Petroleum Reserve (SPR) to supplement commercial inventories, reducing total SPR holdings to 282.2 million barrels.

US crude oil production increased to 13.992 million barrels per day in the week ended October 23, up from 13.269 million barrels per day the week before.